Manufacturing Orders can be canceled as long as they haven't been fulfilled. If the manufacturing order is completed, you will have to make inventory adjustments manually to reverse the process.
Canceling a Saved Order
If an order is Saved, it is in draft status. At this point, an order can not be canceled but rather fully removed. To remove a manufacturing order, go to "Action > Remove WO."
Canceling a Confirmed Order
If an order is Confirmed, that means the materials are allocated. Go to "Manufacturing Order > Action > Cancel MO".
Canceling an Order Inprocess
If an order is Inprocess, that means the work order has been started. First, go to the "Work Order > Action > Remove WO." This will put the Manufacturing Order back into Confirmed.
Once the Work Order has been removed, go to "Manufacturing Order > Action > Cancel MO."